Paneer Butter Masala/Paneer Makhani

Paneer Butter Masala/Paneer Makhani

Prep Time

10 mins

Cook Time

35 mins


  • 250 grams paneer, cut into cubes
  • 1 large onion, (roughly chopped)
  • 5 large red juicy tomatoes, finely chopped (you can also use 1 can of plum tomatoes)
  • 1 tbsp ginger-garlic paste
  • 12-15 Cashew nuts
  • 1-2 tsp Rajah Chilli powder
  • 1 inch Rajah Cinnamon/Cassia
  • 3 Rajah Green Cardamoms
  • 3-4 Rajah Cloves
  • 2 Rajah Bay leaves
  • 1 black cardamom
  • 1 1/2 tbsp sugar/honey/sweetener (you can adjust the amount of sugar or honey as per your taste)
  • 1/2 cup heavy cream
  • 1/2 tsp Rajah Garam Masala
  • 2 tsp KasooriMethi (dried fenugreek leaves)
  • 5 tbsp butter plus 1 tbsp for frying the paneer pieces
  • Salt to taste
  • Coriander leaves for garnishing


  1. Heat 4 tbsp butter in a thick bottomed pan on medium heat and add the black cardamoms, green cardamoms, cloves and cinnamon and fry for few seconds until it's fragrant.
  2. Next add in the chopped onion and sauté for 3-4 minutes on medium-high heat until soft and translucent.
  3. Then add the ginger- garlic paste and continue to sauté for a minute or two until the raw smell disappears.
  4. Now toss in the chopped tomatoes along with some salt and red chilli powder and fry on medium heat for around 15-20 minutes until the tomatoes are broken down and the oil starts to separate from the tomatoes.
  5. Add the cashew nuts and sauté for few seconds.
  6. Switch off the flame and let it cool down a bit.
  7. Meanwhile in another pan add 1 tbsp of butter and sauté the paneer pieces until golden brown on all sides. (you can totally skip this step and add the paneer in the sauce ad it is).
  8. In a blender or food processor add these cooked tomato sauce along and 1/2 cup water and blend it into a puree to achieve that restaurant-style silky smooth sauce.
  9. Now in the same pan add one tbsp of butter and add bay leaves and the pureed tomato sauce and bring it to a boil. Add 1-1 1/2 cup of hot water to the sauce to achieve the desired consistency of the sauce and simmer for 8-10 minutes.
  10. Check the seasoning, add salt if required and the sugar/honey, garam masala to the sauce and continue simmering the sauce for another 5 minutes.
  11. Next add the paneer, heavy cream and KasooriMethi to the sauce and simmer for 2-3 minutes.
  12. Take it off the heat. Garnish with chopped coriander and serve it with Naan or Jeera rice.